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Workers in the “gig economy” could be hit with significant tax bills this year with side hustles now front and centre of the ATO's attention, CPA Australia has said.
Side hustlers could be slapped with large tax bills this year, warns CPA
18 June 2025
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8 minute read
CPA Australia is warning workers participating in the gig economy who haven’t been paying tax on their side hustle to expect a tax bill this tax time.
According to the accounting body, income generated from side hustles had become “a major focus” for the ATO, with digital service platforms now legally required to report the income earned by their users under the Sharing Economy Reporting Regime (SERR).
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Jenny Wong, CPA tax lead, said workers who had earned money through UberEats, Airtasker, YouTube and OnlyFans and did not report and pay tax on the income earned risked an amended return, a tax bill and possible penalties.
“The SERR is expanding this financial year, meaning the ATO will be aware of any income you have received through these types of gig economy platforms. This brings them into line with other third parties that already provide the ATO with the data it uses to pre-fill tax returns, including banks,” she said.
“Until this year, individuals have been required to self-declare the income from their side-hustles. Now, nothing will go under the radar. If you deliver food with DoorDash, work some casual jobs through Airtasker, or make content for Patreon, YouTube or OnlyFans, these sites are now reporting your earnings to the Tax Office.”
It was added that these rules now applied to a broad range of services, and it was important to take note of this and pay tax where needed.
To avoid an unexpected tax bill, CPA suggested that all gig economy workers ensure they declared all income, maintained accurate records, understood their obligations, and sought professional advice.
The body also said gig workers could be entitled to claim some work-related expenses, but only if they were directly linked to the income they earned, they had not been reimbursed, and they had proof of the purchase.
Such entitlements included work-from-home expenses, travel costs, motor vehicle expenses and tools of the trade.
Wong said individuals who had enjoyed a strong year of earning activity through sites such as YouTube and OnlyFans could be in for the “biggest shock” and that influencers should declare their gifts and gratuities they had received as a form of payment.
“You must pay tax on income you earn above the tax-free threshold of $18,200. So, if you’ve had a successful year earning money through advertising revenue and streaming subscriptions, as well as through gifts and gratuities, the ATO will be expecting you to cough up. Yes, this even includes free cars, holidays, clothes and anything else you’re lucky enough to receive as a form of payment,” she said.
“The current level of tax compliance from digital economy users has largely been a mystery. Though people might not consider earnings from digital platforms as income the same way as their regular job, it is all viewed the same way by the ATO. Chances are that many people have simply not been declaring this income at tax time. That all changes now.”
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